Amidst falling shares by more than 4 percent, Nvidia's CEO, Jensen Huang, is under investigation for alleged intelligence gathering activities on behalf of Chinese authorities. The inquiry was prompted by reports linking him to Alice Huang, a former executive at a Singapore-based data center company, who is suspected of spying. The board has initiated an independent review to determine if Huang, a Taiwanese-American dual national and co-founder of the world's second-most valuable tech firm after Apple, was targeted by foreign intelligence. The controversy arises amidst US-China competition for AI supremacy, with Washington seeking to prevent China from acquiring advanced American semiconductors, including Nvidia's powerful artificial intelligence chips. While details regarding the nature of information gathered, its sensitivity, and Huang's knowledge about the operation remain unclear, the company maintains that there's no evidence suggesting national security or confidential information has been compromised. Jensen Huang has admitted to infidelity but previously described his interactions with Alice Huang as "normal" and related to her business dealings. Investors are unsettled by the allegations, with potential implications for Nvidia's leadership and a broader congressional investigation that could put pressure on the company's shares. Jensen Huang's daughter, also an employee at Nvidia, has cancelled a planned visit to South Korea amidst the controversy. US authorities have been investigating Alice Huang's company, Megaspeed, since 2024 over suspicions of aiding China in obtaining advanced technology.